Investing is more of a common sense than intelligence. An investor with high IQ and low EQ is not intelligent at all. In the contrary world on intelligence is considered as a measured value of IQ, but in the investing world it plays little role. Sure a person with high IQ can calculate the risk and rewards, the sectorial cage growth or even can find his own formula to find multibagger. But if he is fragile on patience and discipline, he won't be the intelligent investor. Investing is a fun process until we see a major loss. When confronted with such situations, we forget everything and the primitive brain of flight or fight gets activated. So most investors sell their holding along with the masses instead of buying more at the discounted price. They know the market is gonna revive sooner and stronger, but they won't listen to their logical mind and keep their selling activity on. Here the fear surmounts every knowledge and experience. So it is important to be an intelligent investor with little common sense and more patience.
The benefits of doing things on our own must be overrated. The reason is once it is overrated, it will grab the attention of a lot of people who ignore it. This is the process of setting up the foundation of everyday life. Knowing how to prioritize our day is a skill that is worth pursuing.
Comments
Post a Comment